Taqa Said to Borrow $1.2 Billion for Morocco Power Plant
Abu Dhabi National Energy Co. (TAQA), the state-controlled power and oil producer known as Taqa, signed a project finance loan of between $1.1 billion and $1.2 billion for its Jorf Lasfar thermal power plant in Morocco, according to four people familiar with the matter.
BNP Paribas SA (BNP), Standard Chartered Plc (STAN) and Societe Generale SA (GLE) arranged the facility, the people said, asking not to be identified because the details are private. Japan Bank for International Cooperation contributed $216 million to be used for import of equipment from Mitsui & Co., Mitsubishi Heavy Industries Ltd. (7011) and IHI Corp. (7013), they said.
Taqa, founded in 2005, owns stakes in businesses that generate power or produce oil and natural gas in the Middle East, North America, the North Sea and India. The Abu Dhabi- based company has spent $2.25 billion this year, Chief Executive Officer Carl Sheldon said in May.
“We expect to sign the project financing arrangements very soon,” Allan Virtanen, an Abu Dhabi-based spokesman at Taqa, said in an e-mailed response to Bloomberg’s questions. He declined to give further details.
Jorf Lasfar Power Complex is the largest coal-fired power project in the region and is 100 percent-owned by Taqa, said Virtanen. The construction contracts were awarded to Mitsui and Daewoo Engineering & Construction Co. in 2010, he said.
Taqa has the equivalent of $20.8 billion in outstanding bonds and loans, including $911 million of 5.62 percent notes which mature in October, according to data compiled by Bloomberg. The company’s debt is rated A3 by Moody’s Investors Service, its fourth-lowest investment grade.
To contact the reporter on this story: Emi Urabe in Tokyo at email@example.com
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